Information on the Target

CC European Retail (CCER), established in 2020 after its separation from Container Centralen A/S, is a leading provider of returnable transport items (RTIs) in the European food and beverage supply chain. As a market leader, CCER specializes in offering rental solutions for reusable crates, rolling half and quarter pallets, and roll containers, which are essential for transporting goods from distribution centers to supermarkets throughout Europe. With an impressive asset pool of 6 million RTIs and a strategically located network of 12 depots, CCER plays a critical role in facilitating efficient logistics for its diverse customer base.

This acquisition marks a significant milestone in CCER's journey, transforming it from a business unit of a larger entity into a competitive, independent player in the market. The recent partnership with Erhvervsinvest has enabled CCER to establish a strong foundation for growth and development, positioning the company for further international expansion and enhanced service offerings.

Industry Overview in the Target’s Specific Country

The European market for returnable transport items is experiencing robust growth driven by the increasing emphasis on sustainability and efficiency within supply chains. Companies are increasingly recognizing the importance of utilizing reusable packaging solutions to minimize waste and reduce their carbon footprints. This shift is aligned with stricter environmental regulations and consumer preferences for sustainable products.

In particular, the food and beverage sector in Europe has shown a significant appetite for rental solutions that enhance operational efficiencies. Providers of RTIs are responding to this demand by developing innovative services that streamline logistics processes and cater specifically to the needs of this sector. As a result, the competition among RTI suppliers is intensifying, underlining the importance of offering comprehensive and tailored solutions.

The ongoing trend toward digitalization in logistics is also influencing the RTI market, as companies are increasingly implementing technology solutions to track and manage their inventory. Enhanced visibility and traceability of transport items are becoming essential components of effective supply chain management, enabling businesses to optimize their operations while ensuring compliance with industry standards.

Additionally, the COVID-19 pandemic has catalyzed a shift in consumer behavior, with more emphasis placed on online shopping and home delivery systems. This has amplified the need for efficient logistics networks capable of delivering goods directly to consumers, further increasing the demand for RTIs within this framework.

The Rationale Behind the Deal

The acquisition of CCER by HB RTS is a strategic maneuver aimed at expanding HB's footprint in the RTI market while enhancing its service capabilities for clients. By integrating CCER's extensive assets and operational strengths, HB will now boast a total fleet of 9 million RTIs, positioning it as a formidable player in the European logistics landscape.

This acquisition not only streamlines HB's operational capabilities but also allows it to offer a broader range of RTI rental, washing, and logistics solutions. The combined expertise of both companies will enable them to operate more efficiently and cater to a more extensive customer base, making it a pivotal move in responding to the evolving demands of the market.

Information About the Investor

HB RTS, founded in 2008, has established itself as a key provider of integrated RTI rental, washing, and logistics services in the Dutch food and beverage sector. With an asset pool of 2.8 million RTIs and a network of strategically positioned facilities, HB specializes in delivering safe and sustainable transport solutions that minimize reliance on single-use packaging.

The company's commitment to sustainability and innovation has resonated well within the market, attracting a diverse customer base from various sectors seeking efficient and reliable logistics support. This acquisition aligns with HB's strategic vision of becoming a comprehensive one-stop shop for RTI solutions, further enhancing its ability to serve clients across Europe.

View of Dealert

From an expert perspective, this acquisition of CCER by HB RTS represents a compelling investment opportunity. The consolidation of CCER's market-leading position with HB's extensive portfolio is likely to create significant synergies, ultimately enhancing operational efficiencies and customer offerings. The growing emphasis on sustainability in supply chains further amplifies the relevance of this transaction, aligning with current market trends.

Additionally, the operational expertise and strong customer relationships established by both companies will likely result in improved service delivery and customer satisfaction. The strategic integration of assets will not only strengthen their market position but also allow them to respond effectively to the demands of an evolving industry landscape.

Moreover, the anticipated growth in the demand for RTIs, driven by environmental regulations and changing consumer preferences, supports the potential for revenue growth in the coming years. As businesses increasingly seek to adopt sustainable practices, HB's expanded capabilities could position it as a leader within the sector.

Overall, this deal appears to be a well-calculated investment, offering a promising avenue for HB RTS to capitalize on emerging opportunities while further entrenching its leadership in the European market for returnable transport items.

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